Development prospect of polyethylene market in China

ABSTRACT

This paper analyzes the market supply and demand of polyethylene from 2015 to 2019 in China. In 2019, the production capacity of polyethylene reached 19.27 Mt, the output was 15.76 Mt, the import volume was 16.67 Mt, and the consumption volume reached 32.14 Mt. China's new polyethylene production capacity is summarized and consumption is predicted from 2020 to 2024. The forecast results show that affected by COVID-19 at the beginning of 2020, China's polyethylene consumption will be about 32.39 Mt. However, with the orderly recovery of China's economy and the growth of national industrial support, polyethylene consumption will continue to grow rapidly in the future, and it is expected to reach 37.90 Mt by 2024. Although polyethylene market is large, local enterprises in China still face severe challenges such as product homogeneity, low-priced imported products, stricter environmental protection supervision, and plastic bans. In order to survive in the fiercely competitive market, Chinese enterprises must reduce product costs, develop customized services based on user needs, carry out more scientific research and development, and strengthen independent innovation. © 2021, Beijing Yanshan Branch, Assets Management Corporation, SINOPEC. All right reserved.